Hyperliquid Co-Founder Jeff Yan Says Self-Custody, Transparency Are Core to On-Chain Finance

Hyperliquid co-founder Jeff Yan said the real competitive edge of on-chain finance lies in self-custody and transparency, not 24-hour trading.

BlockBeats reported on September 30 that Yan made the remarks at Korea Blockchain Week, or KBW, that day. "Round-the-clock trading is not the fundamental strength that distinguishes on-chain finance from traditional finance, or TradFi," he said.

Yan said cryptocurrencies have traded in global markets from the outset and therefore do not need to be bound by traditional market hours. He added that traditional exchanges have also been steadily extending trading hours, making it harder to argue that 24-hour trading alone sets on-chain markets apart.

He identified self-custody as the most important advantage of on-chain finance. The key, he said, is that users directly manage control and custody of their own funds.

Yan also cited transparency as a core competitive strength of on-chain finance. In blockchain-based finance, it is theoretically possible to verify all transactions and asset flows within the system. "That structure creates trust and neutrality that are difficult to deliver in systems controlled by a single institution," he said.

Yan said markets for private shares could become a major asset class for the broader adoption of 24-hour trading. Once a global price-discovery system is established, more users would be able to trade private shares without being limited to a specific country.